PA-490

                                                                                                                           Public Act 490

Public Act 490 is Connecticut's Land Use Value Assessment Law for Farm Land, Forest Land and Open Space Land--one of the most important laws to help preserve an agricultural, forest, and natural resource land base in Connecticut.

The creation of the PA 490

In  the late 1950's and early 1960's, there was a great deal of pressure to convert open space and undeveloped land to more intensive uses as Connecticut's population and Business industry grew.  As land prices soared, prohibitively high " fair market value" property assessments made it increasingly difficult for landowners to continue low intensity uses of their land.  At the same time, farmland was being rezoned for residential, commercial and industrial development.  As a result, land was being appraised and assessed at much higher values than for how the land was actually being used.  Resulting with many farmers and landowners having to sell their family lands to pay their real estate tax bills.  Pressure to develop did not stop with farmland.  Sportsman and other conservationists were alarmed at the loss of wildlife habitat as well as degradation of water quality.  Forest land, watersheds and other natural habitat areas were being purchased and developed into incompatible uses at an alarming rate.

Connecticut was one of the first states to enact current land use assessment legislation.  Today all states have programs in place to reduce local real estate property taxes on farmland, forestland and undeveloped open space.

In 1963, The Connecticut General Assembly enacted Public Act 63-490, an act concerning the taxation and preservation of farm, forest or open space, commonly referred to as "PA 490."

More information is available at the CT Farm Bureau website: https://www.cfba.org/pa-490/, and the CT Department of Agriculture, https://portal.ct.gov/DOAG/ADaRC/ADaRC/Information-on-Public-Act-490

Filing deadlines:

A certified Forester's Report must be dated no later than October 1st. All applications for classification must be received by October 31.  During a revaluation year, applications are accepted through December 30, 2024.

Frequently asked questions about PA 490 classification 

Why PA 490?
It costs a community less to provide services to undeveloped land than to residential, commercial, or industrial lands. Forest land contributes to the high quality of life in Connecticut, and as such warrants a tax incentive to prevent its development.

What is one of the most important pieces of information to understand when applying for the PA-490 classification?
If you have owned the land less than ten years and it is classified as PA 490 land, there is a conveyance tax that will apply if the land is sold, transferred or the land use has changed.  

What is a conveyance Tax and how does it work?
In 1971 the General Assembly initiated a penalty on the removal of land from PA 490 classification as a means of further encouraging preservation and to diminish speculation ( CGS 12-504a).  The tax is ten percent if sold, transferred or use is changed in the first year of classification and decreases by one percent per year each year until the ten year period is achieved.  The clock starts ticking for the conveyance from the date of of ownership for farmland and forest land, and from the year of enrollment for open space. 

Does the NEW owner of land that was under PA 490 classification by a former owner have to reapply for classification if he/she wants to continue with classification?

YES- classification ceases when there is a sale, transfer, or a change in land use. 

• CGS 12-504f states:  "Upon the sale or Transfer of any such {classified} property, the classification...shall cease as of the date of sale or transfer...".  Section CGS 12-504h provides that classification is  "personal to the particular owner who requests and receives such classification" and does NOT run with the land itself.
• Subsection (a) of CGS: 12-504c was amended effective October 1, 2014 and states that any time there is ownership change, except for transfers as listed in subsection (a) of CGS: 12-504c, in land that is classified as Farm, Forest, Open space or Maritime heritage land, a NEW application for classification must be filed with the Assessor.

What are the classification types:

• Forest Land ~ Definition of Forest Land Pursuant to subdivision (2) of §12-107b, the term "forest land" means “any tract or tracts of land aggregating twenty-five acres or more in area bearing tree growth that conforms to the forest stocking, distribution and condition standards established by the State Forester pursuant to subsection (a) of section 12-107d, and consisting of (A) one tract of land of twenty-five or more contiguous acres, which acres may be in contiguous municipalities, (B) two or more tracts of land aggregating twenty-five acres or more in which no single component tract shall consist of less than ten acres, or (C) any tract of land which is contiguous to a tract owned by the same owner and has been classified as forest land.
• Farm Land ~ The term “farm land” means any tract or tracts of land, including woodland and wasteland, and any underwater farmlands used for aquaculture, constituting a farm unit.  The Assessor may need to make an onsite visit.  The Assessor is directed to make the determination if land is farmland by taking several items into account CGS 12-107c: acreage, portion of land in actual farming use, productivity of the land, gross income, equipment  used on the farm and , if there are two or more tracts, the contiguity and non-contiguity of the tracts. 
• Open space land, for use value purposes, must be designated as such on a Plan of Conservation and Development, as recommended by the town’s planning commission and subsequently approved by its legislative body. Land included in any area so designated may be classified as open space as long as there has been no change in the land’s use and its essential character has not been altered since the date the legislative body approved the town’s plan of development. To qualify for open space classification, a town ordinance requires that your have at least 5 acres